OREANDA-NEWS. December 16, 2010. OJSC Rosinter Restaurants Holding (Rosinter), the leading casual dining restaurants chain in Russia and CIS (RTS and MICEX ticker: ROST), announced today its financial results for the nine months ended September 30, 2010 prepared in accordance with IFRS.

9 MONTHS 2010 HIGHLIGHTS

•           Net sales increased by 17.2% to RUB 7,126 mln in 9M 2010 as compared to RUB 6,077 mln in the same period in 2009

•           Gross profit amounted to RUB 1,700 mln, for a gross margin of 23.9% as compared to 23.7% in 9M 2009

•           Operating profit amounted to RUB 447 mln, for an operating margin of 6.3% as compared to 2.7% in 9M 2009

•           EBITDA111 amounted to RUB 747 mln, for an EBITDA margin of 10.5% as compared to 7.7% in 9M 2009

•           Net profit amounted to RUB 214 mln, for a net profit margin of 3.0% as compared to net losses in 9M 2009

•           Gross debt decreased by 35.8% to RUB 1,412 mln, leading to a Net debt/EBITDA of 1.08x as at 30 September 2010 in comparison with 2.97x as at 31 December 2009

Sergey Beshev, President and CEO:

"In third quarter of 2010 our company has demonstrated further improvement in sales trend and net profit margin. Same store sales growth for the third quarter increased to 7.3% from 6.0% in first half of 2010. In total during first nine months of 2010 consolidated revenue increased by 17.2% as compared to the same period of 2009 and net profit reached 213.6 million rubles.

During nine months of 2010 we have opened 8 new corporate and 16 new franchise restaurants. To maintain our growth targets in the balance of 2010 and 2011 we have built an inventory of potential new locations, 29 of which are presently under construction and will be opened later this year and early next year.

In 2010 we continue to reinforce our marketing activities and we are confident that our strong commitment and focus on customers would translate into improved financial results in the future."

Victor Shlepov, CFO:

"In the third quarter we have fully completed our SPO and further reduced debt to 1,412 million rubles which is 35.8% lower than at the begging of 2010. By end of November we have also completed the restructuring of our debt portfolio that resulted in improvement of its maturity profile with long-term component increased to 81%.

It is important to highlight that during first nine months of 2010 our company has done significant work on ensuring better operating performance and positive financial results of each store. As part of this strategy we decided to close several corporate outlets which brings us sustainable positive effects on operating profit.

In 2010 we launched legal restructuring program that already gave positive influence on effective tax rate and savings in SG&A expenses. Our better operational performance strengthens internal fund generation and allows us to increase the pace of corporate development."